Kalshi in Talks to Raise $750M at $40B Valuation, Nearly 2x in 3 Months

Three months after a $22 billion valuation, Kalshi is reportedly already back at the table talking numbers nearly double that.

The prediction market operator is in talks with Sequoia Capital and Wellington Management for a funding round of at least $750 million at a $40 billion valuation, according to reporting from The Information. Sequoia is already a Kalshi investor, while Wellington would be a first-time backer if the round closes. The jump follows a $1 billion raise at $22 billion just in May, and comes as the company reports annualized revenue around $4 billion in July, driven heavily by 2026 World Cup trading activity.

The new valuation would put Kalshi well ahead of rival Polymarket, which has separately been in talks at closer to $20 billion, and the round is reportedly being discussed with an eye toward a possible 2027 IPO. It also lands in the middle of a live legal fight, the CFTC just invoked emergency powers to keep Kalshi operating against a $36 billion New York lawsuit over its sports contracts.

Raising at nearly double your valuation from three months earlier, in the middle of a $36 billion state lawsuit, is either a sign investors think the CFTC’s federal framework wins out, or a sign the World Cup revenue number is doing a lot of the talking. Both are probably true at once.

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